The Philippine Chamber of Commerce and Industry (PCCI) expressed its support for a transparent, fair and collaborative process in the implementation of San Miguel Global Power’s (SMGP) ₱34-billion recovery claim filed before the Energy Regulatory Commission (ERC). The claim follows the termination of SMGP’s Power Supply Agreement (PSA) with Manila Electric Company (Meralco) and the Supreme Court’s decision upholding this pre-termination.
The PCCI recognizes the Supreme’s Court decision and the subsequent filing by SMGP as a significant development in the energy sector. The Chamber acknowledges the legal right to recover costs but emphasizes the critical need for a process that is equitable for all stakeholders, especially the consuming public.
“In the spirit of partnership, we encourage the ERC to lead a thorough and transparent review grounded on verified data,” PCCI said. “Our shared goal is a sustainable energy ecosystem. This means balancing the legitimate operational needs of power providers with the fundamental necessity of keeping electricity affordable for families and businesses, which are the backbone of our economy.”
The PCCI believes that constructive dialogue among all parties is key to achieving a fair outcome. The Chamber affirms its confidence in the ERC’s mandate to protect consumer interests while ensuring a stable and investable energy market.
“We understand that contracts involve assumed risks, and the resolution of this claim must be handled with precision and care. We stand ready to collaborate with the ERC, generators, and distributors to explore solutions that mitigate the impact on end-users,” the statement added.
The Chamber suggests that a collaborative approach could include exploring mechanisms such as extended, staggered payment plans or structured recovery terms that prevent sudden financial pressure on consumers and caps on recovery charges per billing cycle, or other mechanisms that would help soften the effect on households and businesses, particularly those in vulnerable sectors.
“By working together, we can find a path forward that upholds the integrity of contracts, ensures the financial health of our energy players, and safeguards the economic well-being of the Filipino consumer,” the PCCI concluded.
